You must define the structure of your Inventory organizations and locations, which you would be reporting to the

Local Tax Authorities. The information defined at this level would be the basis for Recording, Reporting and
accounting of the location taxes. Apart from this the user would also define the organization registration details with
Excise, Customs, Sales Tax and TDS authorities.
Information available in Additional Organization Information is the basic data for all India Localization activities
and accounting. The Organization and Locations defined through Common Application would be available for
setup. While creating the additional organization information, it is mandatory to create two sets of records, one at
null location level and another with location.
The master child relationship among the organization and location would be used only for consolidation of excise
registers at Master organization level. Master Org flag should be checked only for an Organization- Location
record. It is also to be ensured that the Master Organization-Location is maintained only as a Reporting entity and
no direct receipt/shipment transactions are done in this Organization.

If the Taxable basis for the calculation of the excise duty is different from the Price at which the item is sold, the,
you will have to create additional Price lists with the Item Excise Assessable Price.
This price list has to be attached to the Customer/Customer Site and Supplier/Supplier Site. The assessable price
would be considered only for the calculation of the excise duty.
Which Localization tables are updated in the course of Purchase transaction created
with Localization Taxes?
When PO is created with taxes attached, records are populated into

a. Ja_in_po_line_locations for Shipment level details and

b. Ja_in_po_line_location_taxes for tax related entries.

These tables will be updated on Insert, Update and Delete

On creating the receipt from Receipt Localized screen following tables are populated

a. Ja_In_Receipt_Lines for line level details and

b. Ja_In_Receipt_Tax_Lines for tax related entries.

When the Receipt localized form is closed For Passing Accounting Entries concurrent request is submitted.
This would

a. Generate Accounting Entries by populating into Gl_Interface and

b. Populate ja_in_rcv_journals for Receipt Accounting entries.

If excise types of taxes are attached then Ja_In_Rg23_Part_I and Ja_In_Rg_Part_II will get populated depending
upon the item classification.
On Delivery to a Bonded Subinventory Non cenvatable Taxes would be added to the item cost. This will insert
records into

a. Ja_In_Rcv_Journals for delivery entries and

b. Mtl_Material_Transactions_Temp for average cost update. The Tax amount will be populated into
Value_Change field.

Inventory transfer worker fires and pushes the record from Mtl_Material_Transactions_Temp to
mtl_material_transactions table.
When Average cost update worker fires for costing Mtl_Transaction_Accounts and mtl_cst_txn_cost_details
tables will be populated.